§ 1745. — Insurance of mortgages on sales of Government housing; limits and conditions; Greenbelt towns; State housing.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1745]
TITLE 12--BANKS AND BANKING
CHAPTER 13--NATIONAL HOUSING
SUBCHAPTER VI--WAR HOUSING INSURANCE
Sec. 1745. Insurance of mortgages on sales of Government
housing; limits and conditions; Greenbelt towns; State housing
Notwithstanding any of the provisions of this subchapter, the
Secretary is authorized, upon application by the mortgagee, to insure or
to make commitments to insure under section 1738 or section 1743 of this
title any mortgage executed in connection with the sale by the
Government, or any agency or official thereof, of any housing acquired
or constructed under Public Law 849, Seventy-sixth Congress, as amended;
Public Law 781, Seventy-sixth Congress, as amended; or Public Laws 9,
73, or 353, Seventy-seventh Congress, as amended (including any property
acquired, held or constructed in connection with such housing or to
serve the inhabitants thereof), without regard to--
(1) any limit as to the time when any mortgage may be insured
under this subchapter;
(2) any limit as to the aggregate amount of principal
obligations of all mortgages insured under this subchapter, but the
aggregate amount of principal obligations of all mortgages insured
pursuant to this section shall not exceed $750,000,000;
(3) any requirement that the obligation be approved for mortgage
insurance prior to the beginning of construction or that the
construction be new construction;
(4) any of the provisions of subsections (b)(2) or (b)(5) of
section 1738 of this title or paragraphs (B) and (C) of the first
sentence of section 1743(b)(3) of this title:
Provided, That such mortgage shall (1) otherwise be eligible for
insurance under section 1738 or section 1743 of this title as the case
may be, (2) have a maturity not exceeding twenty-five years from the
date of insurance, (3) involve a principal obligation (including such
initial service charges, appraisal, inspection, and other fees as the
Secretary shall approve) in an amount not exceeding 90 per centum of the
appraised value of the mortgage property as determined by the Secretary,
and (4) bear interest (exclusive of premium charges) at not to exceed 5
per centum per annum on the amount of the principal obligation
outstanding at any time if such mortgage covers property on which there
is located a dwelling designed principally for residential use for not
more than four families in the aggregate, irrespective of whether such
dwelling or dwellings have a party wall or are otherwise physically
connected with another dwelling or dwellings, or bear interest at not to
exceed 4\1/2\ per centum per annum on the amount of the principal
obligation outstanding at any time if such mortgage covers property upon
which there is located a dwelling or dwellings designed principally for
residential use for more than four families.
The Secretary is further authorized to insure or to make commitments
to insure in accordance with the provisions of this section any mortgage
executed in connection with the sale by the Secretary, or by any public
housing agency with the approval of the Secretary, of any housing
(including any property acquired, held, or constructed in connection
with such housing or to serve the inhabitants thereof) owned or
financially assisted pursuant to the provisions of Public Law 671,
Seventy-sixth Congress.
The Secretary is further authorized to insure or to make commitments
to insure in accordance with the provisions of this section any mortgage
executed in connection with the sale by the Government, or any agency or
official thereof, of any of the so-called Greenbelt towns, or parts
thereof, including projects, or parts thereof, known as Greenhills,
Ohio; Greenbelt, Maryland; and Greendale, Wisconsin, developed under the
Emergency Relief Appropriation Act of 1935, or of any of the village
properties under the jurisdiction of the Tennessee Valley Authority, and
any mortgage executed in connection with the first resale, within two
years from the date of its acquisition from the Government, of any
portion of a project or property of the character described in this
section.
The Secretary is further authorized to insure or to make commitments
to insure under section 1743 of this title in accordance with the
provisions of this section any mortgage executed in connection with the
sale by a State or municipality, or an agency, instrumentality, or body
politic of either, of any permanent housing (including any property
acquired, held, or constructed in connection therewith or to serve the
inhabitants thereof), constructed by or on behalf of such State,
municipality, agency, instrumentality or body politic, for the occupancy
of veterans of World War II, their families, and others: Provided, That
the principal obligation of any such mortgage does not exceed either 85
per centum of the appraised value of the mortgage property as determined
by the Secretary or $8,100 per family unit for such part of such
property as may be attributable to dwelling use.
(June 27, 1934, ch. 847, title VI, Sec. 610, as added Aug. 5, 1947, ch.
495, Sec. 2, 61 Stat. 777; amended Aug. 10, 1948, ch. 832, title I,
Sec. 101(e), 62 Stat. 1270; Apr. 20, 1950, ch. 94, title I, Secs. 120,
122, 64 Stat. 58, 59; July 14, 1952, ch. 723, Sec. 14, 66 Stat. 605;
Pub. L. 90-19, Sec. 1(a)(3), (o), May 25, 1967, 81 Stat. 17, 19.)
References in Text
Public Law 849, Seventy-sixth Congress, as amended, referred to in
text, is act Oct. 14, 1940, ch. 862, 54 Stat. 1125, as amended, known as
the ``Lanham Public War Housing Act'', which is classified generally to
subchapters II to VII (Secs. 1521 et seq., 1531 et seq., 1541 et seq.,
1561 et seq., 1571 et seq., and 1581 et seq.) of chapter 9 of Title 42,
The Public Health and Welfare. For complete classification of this Act
to the Code, see Short Title note set out under section 1501 of Title 42
and Tables.
Public Law 781, Seventy-sixth Congress, as amended, referred to in
text, is the Second Supplemental National Defense Appropriation Act,
1941, act Sept. 9, 1940, ch. 717, 54 Stat. 872. Section 201 thereof
appropriated $100,000,000 to the President for allocation to the former
``War'' Department, and to the Navy Department, for the construction of
housing necessary to the national defense program. This provision was
not classified to the code.
Public Laws 9, 73, or 353, Seventy-seventh Congress, as amended,
referred to in text, refer to the following acts, respectively: Public
Law 9, Urgent Deficiency Appropriation Act, 1941, act Mar. 1, 1941, ch.
9, 55 Stat. 14; Public Law 73, Additional Urgent Deficiency
Appropriation Act, 1941, act May 24, 1941, ch. 132, 55 Stat. 197; and
Public Law 353, Third Supplemental National Defense Appropriation Act,
1942, act Dec. 17, 1941, ch. 591, 55 Stat. 810. These three acts
appropriated a total of $320,000,000 to the President for the purpose of
providing housing necessary because of national defense activities and
conditions arising out of World War II. These provisions were not
classified to the code, although all three acts are cited in a ``Prior
Additional Appropriations'' note under section 1523 of Title 42, The
Public Health and Welfare.
Public Law 671, Seventy-sixth Congress, referred to in text, is act
June 28, 1940, ch. 440, 54 Stat. 676, as amended. Provisions of the Act
relating to housing are contained in title II, which is classified
generally to subchapter I (Sec. 1501 et seq.) of chapter 9 of Title 42.
For complete classification of this Act to the Code, see Tables.
The Emergency Relief Appropriation Act of 1935, referred to in text,
is Joint Res. Apr. 8, 1935, ch. 48, 49 Stat. 115. It was a temporary
legislation, and was formerly set out in a note in former chapter 16 of
Title 15, Commerce and Trade. See notes under sections 721 to 728 of
that title.
Amendments
1967--Pub. L. 90-19 substituted ``Secretary'' for ``Commissioner''
wherever appearing, and ``Secretary'' for ``Public Housing
Administration'' and ``said Administration'' in second par.,
respectively.
1952--Act July 14, 1952, inserted last par.
1950--Act Apr. 20, 1950, Sec. 120, made the insurance authority of
this section applicable to sale by the Public Housing Administration, or
any public housing agency, of any housing owned or financially assisted
pursuant to the provisions of sections 1501 to 1505 of Title 42. The
Public Health and Welfare, which provided for the construction of war
housing out of prior authorizations for low-rent public housing on the
condition that such housing would be converted to low-rent use after
termination of its use for war housing.
Act Apr. 20, 1950, Sec. 122, substituted ``Commissioner'' for
``Administrator'' wherever appearing.
1948--Act Aug. 10, 1948, inserted last par. relating to the
Greenbelt towns.
Section Referred to in Other Sections
This section is referred to in section 1738 of this title.
